The bill amends section 150 of the Michigan Insurance Code of 1956, enhancing the enforcement mechanisms for violations of the act. It stipulates that individuals who violate provisions without a specific penalty must be given a hearing opportunity before the director, who can then issue findings and orders to cease the violation. The director has the authority to impose civil fines, with a maximum of $1,000 for each violation, escalating to $5,000 if the individual knew or should have known about the violation. Notably, the bill introduces provisions allowing for fines related to acts or omissions described in section 4503 to be imposed in addition to penalties or restitution under section 4511, with a cap on total civil fines not exceeding $50,000.

Additionally, the bill outlines the director's powers to suspend or revoke licenses and to reopen and modify orders based on changing conditions. It establishes a higher penalty of $20,000 for knowingly violating a cease and desist order after a hearing. The collected fines are to be directed to the state treasurer and credited to the general fund, and the director is empowered to seek court injunctions against violations of the act.

Statutes affected:
House Introduced Bill: 500.150
As Passed by the House: 500.150